Broadcom set to shed $300 billion in value as AI results fail to impress
Broadcom shares slumped more than 14% on Thursday, dragging chip peers lower, after the company’s results fell short of lofty expectations around demand for its custom AI chips business.
The premarket losses, if sustained, will erase more than $315 billion from the company’s market value of about $2.268 trillion, in one of the biggest one-day wipeouts ever.
Its crucial role in helping design in-house processors of firms like Alphabet and Meta that serve as alternatives to Nvidia’s costly chips has made Broadcom one of the biggest winners of the AI boom.
